Johnson & Johnson (JNJ)vsRigel Pharmaceuticals Inc (RIGL)
JNJ
Johnson & Johnson
$265.58
-0.29%
HEALTHCARE · Cap: $640.02B
RIGL
Rigel Pharmaceuticals Inc
$47.24
-0.08%
HEALTHCARE · Cap: $909.15M
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 35281% more annual revenue ($97.93B vs $276.79M). RIGL leads profitability with a 116.3% profit margin vs 21.5%. RIGL trades at a lower P/E of 2.9x. JNJ earns a higher WallStSmart Score of 59/100 (C).
JNJ
Buy59
out of 100
Grade: C
RIGL
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-88.9%
Fair Value
$140.57
Current Price
$265.58
$125.01 premium
Margin of Safety
+86.1%
Fair Value
$251.76
Current Price
$47.24
$204.52 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 25 in profit
Keeps 22 of every $100 in revenue as profit
Strong operational efficiency at 29.2%
Generating 3.4B in free cash flow
Attractively priced relative to earnings
Every $100 of equity generates 76 in profit
Keeps 116 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Reasonable price relative to book value
Strong operational efficiency at 29.9%
Areas to Watch
Premium valuation, high expectations priced in
Expensive relative to growth rate
Earnings declined 0.9%
Smaller company, higher risk/reward
Revenue declined 22.6%
Earnings declined 73.2%
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : JNJ
The strongest argument for JNJ centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 21.5% and operating margin at 29.2%.
Bull Case : RIGL
The strongest argument for RIGL centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 116.3% and operating margin at 29.9%.
Bear Case : JNJ
The primary concerns for JNJ are P/E Ratio, PEG Ratio, EPS Growth.
Bear Case : RIGL
The primary concerns for RIGL are Market Cap, Revenue Growth, EPS Growth.
Key Dynamics to Monitor
JNJ profiles as a mature stock while RIGL is a declining play — different risk/reward profiles.
RIGL carries more volatility with a beta of 1.20 — expect wider price swings.
JNJ is growing revenue faster at 6.6% — sustainability is the question.
JNJ generates stronger free cash flow (3.4B), providing more financial flexibility.
Bottom Line
JNJ scores higher overall (59/100 vs 54/100), backed by strong 21.5% margins. RIGL offers better value entry with a 86.1% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Johnson & Johnson
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
Johnson & Johnson (J&J) is an American multinational corporation founded in 1886 that develops medical devices, pharmaceuticals, and consumer packaged goods. Its common stock is a component of the Dow Jones Industrial Average and the company is ranked No. 36 on the 2021 Fortune 500 list of the largest United States corporations by total revenue. Johnson & Johnson is one of the world's most valuable companies, and is one of only two U.S.-based companies that has a prime credit rating of AAA, higher than that of the United States government.
Visit Website →Rigel Pharmaceuticals Inc
HEALTHCARE · BIOTECHNOLOGY · USA
Rigel Pharmaceuticals, Inc., a biotechnology company, discovers and develops small molecule drugs to treat blood disorders, cancer, and rare immune diseases. The company is headquartered in South San Francisco, California.
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